Suntech solar-panel plant is expected to add marketing punch

Tempe had the buzz as most likely to land Suntech Power Holdings, the massive Chinese solar-panel manufacturer.

The southeast Valley city has an educated workforce, a solid industrial base and Arizona State University, with its reputation for solar research.

Yet Goodyear, with its 62,000 residents in the southwest Valley, landed the solar-panel plant, an outcome that began last spring when the city responded to the Greater Phoenix Economic Council's request for information from a solar company interested in the Valley.

Harry Paxton, Goodyear's economic-development manager, said that like other cities, Goodyear submitted details on the city and its available buildings and then crossed its fingers. By July or August, the city learned that it made the short list.

City leaders were meeting with Suntech officials in the fall to see if they could make the deal work. Goodyear officials, assuming they could be competing with other states that provide job-training funds, offered $500,000 in city funds to train workers. They also pledged to expedite the permitting process and pick up the roughly $15,000 tab.

A month later, Suntech announced that it would open its first U.S. plant in Arizona. As Suntech decided between East and West Valley cities, Paxton said negotiations began between company officials and building owners.

Goodyear jumped to the top of Suntech's list because of Goodyear Crossing, a light-industrial complex that offered a building constructed in 2008 and capable of expansion.

Duke Realty purchased the 250 acres south of Interstate 10, near Maricopa County 85 and Loop 303, in 2007.

Kevin Rogus, senior vice president of Indiana-based Duke Realty, said the company looked to Goodyear because it could offer large tracts of land for sale at the right price. The area's selling points include the surrounding labor force, as well as proximity to highways and California.

The $100 million development has about 1.5 million square feet open, according to Rogus.

Valley leaders are quick to say Suntech's announcement is good for all of Arizona, but for a region whose commuter tracks largely point east, it's an important win.

Barry Broome, GPEC's chief executive, foreshadowed the announcement last fall when he said, "People are going to be surprised how well the West Valley does with solar."

West Valley city leaders are hoping that Suntech is a harbinger of renewable-energy companies to come.

The manufacturing plant, which should open in September, will offer a direct economic punch and 75 jobs, but its broader benefits include the global-marketing exposure it gives to the area, Paxton said.

Long-term, such plants enhance the workforce to attract more renewable-energy companies looking for trained employees.

"We hope to be able to establish that industry in our city, the West Valley and Arizona as a whole," Paxton said.

Mike Hoover, an economic developer with Surprise, called the Suntech announcement a validation of what the region's leaders have known for years: The growing West Valley has the workforce and business parks to compete for high-profile projects.